Mobile bankers are valuable customers: rich, young, and flush with profitable bank products and services. The products and services are saving financial institution money — as the number of mobile bankers has grown, branch visitation has decreased considerably. However, mobile channels have not yet offset physical channel preference among mobile bankers.
For certain activities, mobile bankers inexplicably turn to the brick and-mortar branch at higher rates than all consumers. Identifying costly behaviors to transition to electronic channels is the first step for FIs looking to cut delivery costs. The next move is bolstering adoption of value-added services, which are not only profitable but also encourage overall use of the mobile channel.
Understanding how the mobile channel attracts consumers that use more bank resources requires analysis of these consumers’ behavior and product ownership. Drawn from robust consumer data, this report, entitled Leveraging An Omnichannel Approach To Drive $1.5B In Mobile Banking Cost Savings, provides best practices and recommendations to encourage consumers to maximize the potential of their mobile devices — and save FIs money in the process.
– What features make mobile bankers unique and valuable customers?
– To what extent has mobile banking lowered delivery costs for FIs?
– Why are mobile bankers still turning to the branch over electronic alternatives?
– Are further savings possible by encouraging the use of the mobile channel?
– Which behaviors should be targeted to encourage electronic channels over branch visitation?
– Which advanced mobile banking features are profitable for FIs and desired by customers?
What Sets Mobile Bankers Apart, and Why Are They Valuable?
Mobile Bankers Are Young
Mobile Bankers Are Wealthy
Mobile Bankers Are Early
Mobile Banking Attracts New Relationships
Mobile Bankers Are Flocking to Bigger Banks
Mobile Bankers Are Adoring Mobile Apps, Which Increases Readiness for Advanced Features
Mobile Bankers Own More Profitable Financial Products and Services
Mobile Banking Adoption Is Saving FIs Money — $1.5 Billion More Can Be Saved
Why Do Mobile Bankers Go Into a Branch?
Which Behaviors Should Banks Target Among Mobile Bankers to Encourage Electronic Alternatives?
Mobile Bankers Still Turning to the Branch to Deposit Funds
FIs Can Save $1.5 Billion if Mobile Bankers Switch In-person Deposits to Mobile Once per Month
Mobile Bankers Show a Higher Preference for Using the Branch to Monitor Their Accounts
Mobile Bankers’ Use of CSRs Declines Over the Past Three Years
Further Driving Alert
Adopon Could Reduce Use of Costly Channels
Budgeting Tools Will Help Reduce Mobile Bankers’ In-Person Visits for Monitoring
Mobile Bankers Show Higher Interest in Advanced PFM
Mobile Banking Value-Added Services Can Increase Profits and Turn Mobile Bankers Into Power Users
Value-Added Services Satisfy Needs and Make Mobile Bankers More Profitable
Mobile Imaging Can Be Used to Attract Mobile Bankers
Market Prepaid Accounts to Mobile Bankers
Mobile Wallets Can Generate Revenue
Mobile Bankers Desire Location-Based Offers and Coupons
Mobile Bankers Use Mobile P2P, But Greater Adopon Is Necessary
Table of Figures
Figure 1: Maximizing the Value of Mobile Bankers
Figure 2: Who Are Mobile Bankers in the U.S.?
Figure 3: Technology Attitudes of Mobile in Bankers Past 90 Days vs. Online Bankers in Past 90 Days
Figure 4: Recency of Joining Primary Bank by Mobile Bankers in Past 90 Days vs. Online Bankers vs. All Consumers (Benchmark)
Figure 5: Mobile Bankers in Past 90 vs. Non-mobile Bankers by Bank Size
Figure 6: Methods Used to Conduct Mobile Banking (2009–2012)
Figure 7: Financial Product and Service Ownership by Mobile Bankers (Past 90 Days) vs. All Consumers
Figure 8: Financial Product Ownership, Selected Products by Mobile Bankers (Past 90 Days) vs. All Consumers.
Figure 9: Percent of Mobile Bankers in Past 30 days vs. Percent of Branch Visits in Past 30 Days (2009–2013)
Figure 10: Reasons for Going to the Branch for Mobile Bankers (Past 90 Days) vs. All Consumers
Figure 11: Top 3 Channels Mobile Bankers Prefer to Conduct Financial Behaviors
Figure 12: Estimated Cost per Transaction
Figure 13: Preferred Method to Deposit Funds by Online Bankers (Past 90 Days) vs. Mobile Bankers (Past 90 Days) vs. All Consumers
Figure 14: Rates of Deposit Through Physical Branch
Figure 15: Potential Annual Savings Per Mobile Banking Customer by Converting One Monthly Deposit to Mobile
Figure 16: Channel Preference for Monitoring Balances, Accounts, and Transfers by Mobile Bankers (Past 90 Days) vs. Online Bankers (Past 90 Days) vs.All Consumers
Figure 17: Used a CSR to Perform Any Banking Function by Mobile Bankers in Past 90 Days vs. All Consumers 2011–2013 .
Figure 18: Use of Alerts in Past 90 Days by Mobile Bankers, Online Bankers, and All Consumers
Figure 19: Preferred Source for PFM for Online Bankers (Past 90 Days) vs. Mobile Bankers (Past 90 Days) vs. All Consumers
Figure 20: Likelihood to Use Advanced PFM Services if Available (Probably Would Use/Definitely Would Use) by Mobile Bankers (Past 90 Days) vs. Online Bankers vs. All Consumers
Figure 21: Interest in Using Mobile Imaging to Compare Credit Card Rates by Segments
Figure 22: Prepaid and Checking Account Ownership by Mobile Bankers and All Consumers
Figure 23: Consumer Likelihood to Opt In to Mobile Delivery of Location-Based Offers or Coupons
Figure 24: Recency of Conducting a Mobile Person-to-Person Transfer by Mobile Bankers (Past 90 Days) vs. All Consumers
Figure 25: Consumers Using Mobile Banking in Past 90 days vs. Never Used Mobile Banking by Age
Figure 26: Mobile Bankers (Past 90 Days) vs. All Consumers by Annual Income
Figure 27: Mobile Bankers (Past 90 Days) vs. Online Bankers vs. All Consumers by Investable Assets
Figure 28: Use of Bank Bill View by Mobile Bankers(Past 90 Days) vs. Online Bankers (Past 90 Days) vs. All Consumers
Figure 29: Consumer Phone Feature Use, 2010–2012
For more information, and to order: Research & Markets – Leveraging An Omnichannel Approach To Drive $1.5B In Mobile Banking Cost Savings